CSLB B LICENSE GENERAL CONTRACTOR PRACTICE EXAM
Questions And Correct Answers (Verified Answers) Plus
Rationales 2026 Q&A | Instant Download Pdf.
SECTION 1: LAW AND BUSINESS EXAM
1. How long is a California contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
Correct Answer: B
Rationale: A contractor license is valid for 2 years and expires 2 years from the last day of
the month in which it was issued. The renewal fee is $200.
2. What is the required amount for the contractor bond that must be on file with
the CSLB?
A. $10,000
B. $12,500
C. $15,000
D. $25,000
Correct Answer: C
Rationale: Licensees must maintain a current contractor bond of $15,000 on file with the
CSLB, unless inactive. This bond is for the benefit of consumers who may be harmed by
defective construction or other license law violations, and for employees who have not
been paid wages
,3. A subcontractor or material supplier has how many days to file a lien once a
notice of completion has been recorded?
A. 15 days
B. 30 days
C. 60 days
D. 90 days
Correct Answer: B
Rationale: A subcontractor or material supplier has 30 days from the recording of a notice
of completion to file a mechanic's lien .
4. If a contractor forgets to renew their license on time, the expired license may be
renewed within what time period after expiration without reapplying?
A. 1 year
B. 3 years
C. 5 years
D. 10 years
Correct Answer: C
Rationale: An expired license may be renewed any time within 5 years after its expiration
without reapplying for a license and fulfilling the exam or waiver requirements again .
5. What is the "20-Day Preliminary Notice" used for?
A. To file a lien against the property
B. To preserve the right to record a lien for subcontractors or suppliers
C. To notify the owner of project delays
D. To request final payment
Correct Answer: B
Rationale: The "20-Day Preliminary Notice" is not a lien itself. It is ONLY for
subcontractors or suppliers and must be provided to preserve the right to record a lien on
the property if they are not paid. It can be sent up to 20 days after the subcontractor starts
work or the supplier provides material .
,6. A contractor meets Mr. Jones at his home to discuss remodeling. They sign a
contract that includes a three-day cancellation form. Mr. Jones decides not to have
the work done and sends a letter by first-class mail canceling instead of using the
cancellation form. Is this cancellation effective?
A. No, because he did not use the cancellation form
B. Yes, the letter cancels the contract because it indicates his intention not to be bound
C. Only if sent by certified mail
D. No, because the three-day period had not passed
Correct Answer: B
Rationale: Mr. Jones' letter does cancel the contract because it indicates his intention not
to be bound by the contract .
7. When a subcontractor does work on a public works contract, the public agency
considers the subcontractor to be:
A. A prime contractor
B. An independent contractor
C. A subcontractor of the prime contractor
D. A direct contractor with the agency
Correct Answer: C
Rationale: On a public works contract, the public agency considers the subcontractor to be
a subcontractor of the prime contractor .
8. Who is responsible for supplying safety goggles when a contractor hires a
subcontractor to demolish a concrete wall?
A. The general contractor
B. The subcontractor
C. The property owner
D. The insurance company
Correct Answer: B
Rationale: The subcontractor is responsible for supplying safety equipment, including
safety goggles, for their own employees .
, 9. What type of insurance policy is best for covering a high degree of exposure to
risk?
A. General liability
B. Umbrella policy
C. Workers' compensation
D. Property insurance
Correct Answer: B
Rationale: An umbrella insurance policy provides additional coverage beyond the limits of
primary policies and is best for covering a high degree of exposure to risk .
10. How must a client submit a claim for service or repair of a defect on fit and
finish items after a remodel?
A. By phone call only
B. By certified mail, overnight mail, or personal delivery
C. By email only
D. By text message
Correct Answer: B
Rationale: A client must submit a claim for service or repair of a defect on fit and finish
items after a remodel by certified mail, overnight mail, or personal delivery .
11. What is the Bond of Qualifying Individual requirement for a Responsible
Managing Employee (RME)?
A. $10,000 bond
B. $12,500 bond or cashier's check
C. $15,000 bond
D. $25,000 bond
Correct Answer: B
Rationale: A qualifying individual must have a $12,500 bond or cashier's check on file for
each RME, and for each RMO unless the RMO owns 10% or more of voting stock .
Questions And Correct Answers (Verified Answers) Plus
Rationales 2026 Q&A | Instant Download Pdf.
SECTION 1: LAW AND BUSINESS EXAM
1. How long is a California contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
Correct Answer: B
Rationale: A contractor license is valid for 2 years and expires 2 years from the last day of
the month in which it was issued. The renewal fee is $200.
2. What is the required amount for the contractor bond that must be on file with
the CSLB?
A. $10,000
B. $12,500
C. $15,000
D. $25,000
Correct Answer: C
Rationale: Licensees must maintain a current contractor bond of $15,000 on file with the
CSLB, unless inactive. This bond is for the benefit of consumers who may be harmed by
defective construction or other license law violations, and for employees who have not
been paid wages
,3. A subcontractor or material supplier has how many days to file a lien once a
notice of completion has been recorded?
A. 15 days
B. 30 days
C. 60 days
D. 90 days
Correct Answer: B
Rationale: A subcontractor or material supplier has 30 days from the recording of a notice
of completion to file a mechanic's lien .
4. If a contractor forgets to renew their license on time, the expired license may be
renewed within what time period after expiration without reapplying?
A. 1 year
B. 3 years
C. 5 years
D. 10 years
Correct Answer: C
Rationale: An expired license may be renewed any time within 5 years after its expiration
without reapplying for a license and fulfilling the exam or waiver requirements again .
5. What is the "20-Day Preliminary Notice" used for?
A. To file a lien against the property
B. To preserve the right to record a lien for subcontractors or suppliers
C. To notify the owner of project delays
D. To request final payment
Correct Answer: B
Rationale: The "20-Day Preliminary Notice" is not a lien itself. It is ONLY for
subcontractors or suppliers and must be provided to preserve the right to record a lien on
the property if they are not paid. It can be sent up to 20 days after the subcontractor starts
work or the supplier provides material .
,6. A contractor meets Mr. Jones at his home to discuss remodeling. They sign a
contract that includes a three-day cancellation form. Mr. Jones decides not to have
the work done and sends a letter by first-class mail canceling instead of using the
cancellation form. Is this cancellation effective?
A. No, because he did not use the cancellation form
B. Yes, the letter cancels the contract because it indicates his intention not to be bound
C. Only if sent by certified mail
D. No, because the three-day period had not passed
Correct Answer: B
Rationale: Mr. Jones' letter does cancel the contract because it indicates his intention not
to be bound by the contract .
7. When a subcontractor does work on a public works contract, the public agency
considers the subcontractor to be:
A. A prime contractor
B. An independent contractor
C. A subcontractor of the prime contractor
D. A direct contractor with the agency
Correct Answer: C
Rationale: On a public works contract, the public agency considers the subcontractor to be
a subcontractor of the prime contractor .
8. Who is responsible for supplying safety goggles when a contractor hires a
subcontractor to demolish a concrete wall?
A. The general contractor
B. The subcontractor
C. The property owner
D. The insurance company
Correct Answer: B
Rationale: The subcontractor is responsible for supplying safety equipment, including
safety goggles, for their own employees .
, 9. What type of insurance policy is best for covering a high degree of exposure to
risk?
A. General liability
B. Umbrella policy
C. Workers' compensation
D. Property insurance
Correct Answer: B
Rationale: An umbrella insurance policy provides additional coverage beyond the limits of
primary policies and is best for covering a high degree of exposure to risk .
10. How must a client submit a claim for service or repair of a defect on fit and
finish items after a remodel?
A. By phone call only
B. By certified mail, overnight mail, or personal delivery
C. By email only
D. By text message
Correct Answer: B
Rationale: A client must submit a claim for service or repair of a defect on fit and finish
items after a remodel by certified mail, overnight mail, or personal delivery .
11. What is the Bond of Qualifying Individual requirement for a Responsible
Managing Employee (RME)?
A. $10,000 bond
B. $12,500 bond or cashier's check
C. $15,000 bond
D. $25,000 bond
Correct Answer: B
Rationale: A qualifying individual must have a $12,500 bond or cashier's check on file for
each RME, and for each RMO unless the RMO owns 10% or more of voting stock .
